Updates: the 2019 tax return filing deadline has now also been moved from April 15 to July 15, 2020. And I’m compiling a detailed list of coronavirus relief measures, with instructions on how to claim your benefits.
COVID-19 season + tax season = a bad mix. In a response to COVID-19 (coronavirus), the U.S. Treasury Department and IRS have announced that the deadline for 2019 year tax payments has been extended by 90 days (up to $1,000,000 for individuals and $10,000,000 for C-Corps). This extends the tax payment deadline from the original tax deadline of April 15 to July 15, 2020.
How to File a Tax Extension
If, for one reason or another, you are unable to file your tax return by the April 15 tax deadline, go ahead and file a tax filing extension. The tax extension will allow you to push back the deadline for filing your 1040 return by 6 months (4 months if you are out of the country). If you’re in country, the extended tax filing deadline is Tuesday, October 15, 2020.
In order to file a tax extension, you will need to fill out IRS form 4868 through a tax professional, your tax software, or through the IRS’s Free File. Note that filing the extension does not get you off of the hook of paying until October – an extension of time to file your return is not an extension of time to pay. Any taxes due are still due by the new July 15 extended date in 2020.
April 2020 Estimated Tax Payments are Also Extended
If you earn contractual or self-employment income, You’re probably already familiar with estimated tax payments. There are 4 quarterly deadlines estimated tax payments that typically fall on these dates:
|Time Period:||Estimated Tax Payment Date:|
|January 1 - March 31||April 15, same year|
|April 1 - May 31||June 15, same year|
|June 1 - August 31||September 15, same year|
|September 1 - December 31||January 15, subsequent year|
With this declaration, the April 2020 deadline is also extended to July 15, 2020. This presents the odd scenario where your 2nd quarterly payment (due on June 15) is due earlier than your first quarterly payment (extended to July 15).
More Info on COVID-19 (Coronavirus) & Taxes
I think this is a good move, as it will provide a little temporary relief for those whose income is hardest hit by COVID-19.
Where & How to File your Taxes
When it comes time to pay your taxes, I would recommend that you pay taxes online, as it is quicker, safer, and more reliable.
Want more tax filing tips? Check out my guide on the basics of how to do your taxes.